My partner however is NOT a real estate professional and won’t be able to capitalize on the deductions as much as I will be able to due to their share of the “loss” being a passive loss.

Can you sustain the loss for a few years and repairs/turnover costs that can come up?

I have suspended Passive Activity loss that would reduce the gain, but not eliminate the gain from tax POV.

I had invested in out of state RE in the Midwest before. buy & holds in OH that we ran into several issues with, incompetent PMs and lot of repairs required leading to losses and instability.2.

Otherwise, weigh your options with estimated vacancy and remodeling time, but how you may be able to mitigate losses longer-term with the higher rents you'll presumably be able to collect with new tenants. 

Check out this youtuber video about owner-occupants in areas of Florida having to sell at a loss. https://youtu.be/wpKpwUhPRrA?

Non-passive losses can offset non-passive income (like your W2).

Depreciation typically results in a tax loss.

Short sales are where the bank would realize a lesser loss settling than they would completing a foreclosure.

Your loss is limited to the amount you invested.You can sell shares of publicly traded reits on the stock market during trading hours.